Golar LNG (NASDAQ:GLNG) Shares Gap Up Following Dividend Announcement

Golar LNG Limited (NASDAQ:GLNG)’s share price gapped up prior to trading on Thursday after the company announced a dividend. The stock had previously closed at $51.07, but opened at $55.27. Golar LNG shares last traded at $52.7060, with a volume of 414,441 shares trading hands.

The newly announced dividend which will be paid on Wednesday, September 2nd. Investors of record on Monday, August 24th will be issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.9%. The ex-dividend date of this dividend is Monday, August 24th. Golar LNG’s dividend payout ratio (DPR) is 72.46%.

Analyst Upgrades and Downgrades

Several brokerages recently weighed in on GLNG. Pareto Securities downgraded shares of Golar LNG from a “strong-buy” rating to a “hold” rating in a research report on Thursday, May 21st. Weiss Ratings upgraded shares of Golar LNG from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Tuesday, June 23rd. The Goldman Sachs Group set a $66.00 price target on shares of Golar LNG and gave the company a “conviction-buy” rating in a research note on Tuesday, July 7th. Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating and set a $65.00 price target on shares of Golar LNG in a report on Thursday, May 21st. Finally, BTIG Research boosted their price objective on Golar LNG from $67.00 to $70.00 and gave the stock a “buy” rating in a research report on Friday. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $59.30.

Golar LNG Stock Up 2.5%

The stock’s 50-day moving average is $50.11 and its 200-day moving average is $49.80. The stock has a market cap of $5.32 billion, a P/E ratio of 32.81 and a beta of 0.05. The company has a current ratio of 2.57, a quick ratio of 2.57 and a debt-to-equity ratio of 1.14.

Golar LNG (NASDAQ:GLNG) last released its earnings results on Thursday, March 26th. The shipping company reported $0.82 EPS for the quarter. Golar LNG had a net margin of 31.27% and a return on equity of 8.92%. The firm had revenue of $137.55 million for the quarter. As a group, research analysts anticipate that Golar LNG Limited will post 0.72 earnings per share for the current fiscal year.

Key Golar LNG News

Here are the key news stories impacting Golar LNG this week:

• Positive Sentiment: Q2 earnings and EBITDA beat expectations: Golar reported adjusted EBITDA of $127.4 million, up 159% year over year, while net income attributable to shareholders rose 145% to $38.3 million. Earnings of $0.68 per share exceeded the $0.55 consensus estimate and more than doubled from $0.26 a year earlier. Golar LNG Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Fourth FLNG project approved: Golar signed a roughly $2.45 billion engineering, procurement and construction contract for a 3.5 million-ton-per-year FLNG unit. The vessel is expected to be delivered by the end of 2029 and could expand the company’s long-term LNG production capacity, with management citing favorable delivery timing and improved payment terms. Golar LNG orders 4th FLNG unit for 2029 delivery
• Positive Sentiment: Analyst becomes more bullish: BTIG Research raised its price target from $67 to $70 and reaffirmed a “buy” rating, implying substantial upside from the current trading level.
• Positive Sentiment: Dividend maintained: Golar declared a quarterly cash dividend of $0.25 per share, payable September 2 to shareholders of record on August 24. The annualized yield is approximately 2%.
• Neutral Sentiment: Revenue growth was strong but slightly mixed against estimates: Quarterly operating revenue increased 72% year over year to $130.5 million. However, one report placed revenue modestly below the $131.3 million analyst consensus, making the earnings beat the more important positive catalyst.
• Negative Sentiment: Significant capital commitment: The new FLNG project will require approximately $2.45 billion, and Golar’s share of contractual debt was $2.68 billion, up 31% year over year. Investors may therefore monitor financing, construction execution and leverage risks as the expansion advances.

Institutional Investors Weigh In On Golar LNG

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Amundi boosted its stake in Golar LNG by 29.6% during the 1st quarter. Amundi now owns 19,586 shares of the shipping company’s stock valued at $744,000 after purchasing an additional 4,468 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in shares of Golar LNG by 4.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 58,915 shares of the shipping company’s stock worth $2,238,000 after buying an additional 2,572 shares in the last quarter. Legal & General Group Plc raised its stake in shares of Golar LNG by 2.8% in the 2nd quarter. Legal & General Group Plc now owns 17,100 shares of the shipping company’s stock worth $704,000 after buying an additional 459 shares in the last quarter. Prudential Financial Inc. lifted its holdings in shares of Golar LNG by 68.4% in the second quarter. Prudential Financial Inc. now owns 11,689 shares of the shipping company’s stock valued at $481,000 after buying an additional 4,746 shares during the period. Finally, EverSource Wealth Advisors LLC lifted its holdings in shares of Golar LNG by 94.0% in the second quarter. EverSource Wealth Advisors LLC now owns 1,356 shares of the shipping company’s stock valued at $56,000 after buying an additional 657 shares during the period. Institutional investors own 92.21% of the company’s stock.

Golar LNG Company Profile

Golar LNG Ltd. is a leading owner and operator of liquefied natural gas (LNG) carriers and floating infrastructure. The company specializes in the transportation of LNG on long-term and spot charters for major energy firms around the world. In addition to shipping, Golar LNG has broadened its services to include project development and the conversion of existing carriers into Floating Liquefied Natural Gas (FLNG) and Floating Storage and Regasification Unit (FSRU) vessels.

Since pioneering the first purpose-built FLNG conversion project, Golar LNG has been at the forefront of offshore gas monetization.